Hitachi Energy plans to invest $528 million in a new transformer factory in Gallman, Mississippi, with construction expected to begin later this year and production scheduled for 2029. The governor’s office said the project will create 654 jobs, buy a 45-acre site at the Copiah County Industrial Park and add manufacturing equipment and infrastructure.
The project is the company’s largest single U.S. investment to date. Hitachi Energy’s announcement describes the planned Gallman plant as more than twice the size of its existing Crystal Springs operation, about 6.5 miles away, and says it will more than double the company’s Mississippi production capacity. The current plant employs 475 people and makes small power transformers.
Public announcements use different employment figures. Mississippi officials specify 654 new jobs, while Hitachi says the new facility will create more than 700 jobs. The company did not explain the difference in its release. That distinction matters because job totals are often used to measure whether an incentive-backed development fulfills its commitments.
State assistance is part of the project
The Mississippi Development Authority will support the project through the state’s Flexible Tax Incentive program and will also assist with site development and infrastructure improvements. Copiah County is providing additional help, although the state announcement does not disclose the dollar value of those benefits.
MFLEX is a state tax credit for eligible new and expanding businesses that can offset multiple Mississippi tax liabilities through one program. Eligibility generally requires more than $2.5 million in planned investment and more than 10 new jobs. State rules calculate awards using investment, job creation and payroll, and require annual performance reporting that can lead to credit adjustments if actual results differ from commitments.
The factory is intended to increase domestic supplies of power transformers, equipment used to change voltage levels as electricity moves across the grid. Hitachi attributes growing demand to new manufacturing, industrial electrification, data centers and wider grid expansion. Reuters reported that the Mississippi project is the largest piece of the company’s broader U.S. manufacturing expansion.
Hitachi says existing production will continue in Crystal Springs until the Gallman plant is completed. Transformer work will then move to the new factory, while the older building will remain in use for warehousing, training or other operations. That plan indicates continuity for the current site, but the new jobs, spending and production capacity remain prospective until construction and hiring proceed.
For Copiah County, the next verifiable milestones are the start of construction, disclosure of the finalized incentive package and progress toward the state’s 654-job commitment. Officials have not published a more detailed construction schedule beyond the announced targets. Production is still roughly three years away, so the announcement establishes a development plan rather than a completed expansion.